Help
Course Catalog > Bonds > 200
Bonds 205: TIGRs, CATS, and LIONs

Test your knowledge

Choose wisely. There is only one correct answer to each question.

0%
Keep studying!
Review your answers below to learn more.
1.
CATS were securities issued by the US Treasury and sold by brokerage firms.
Choose wisely. There is only one correct answer.
False. CATS were securities issued by brokerage firms based on Treasury bonds that they purchased and placed in escrow.
2.
Even though felines were issued by private firms, they were still relatively secure bonds.
Choose wisely. There is only one correct answer.
True. Even though they were issued by private firms, these bonds were based on Treasury securities held in escrow.
3.
TIGRs, CATS, and LIONs are acronyms _______.
Choose wisely. There is only one correct answer.
Created by brokerage firms. TIGRs, CATS, and LIONs are acronyms created by brokerage firms for securities based on Treasury bonds.
4.
Compared to its face value, the issuing price of a zero coupon bond is _______.
Choose wisely. There is only one correct answer.
Much lower. Zero coupons are issued at deep discounts from their face values.
5.
The units that Treasury-backed zeros are based on represent _______.
Choose wisely. There is only one correct answer.
Interest. Interest payments were divided into units as the basis of Treasury-backed zeros.